financial aid bensalem high school presented by: donna wilkoski director of financial aid bucks...
TRANSCRIPT
FINANCIAL AIDBensalem High School
Presented by:
Donna Wilkoski
Director of Financial Aid
Bucks County Community College
www.bucks.edu
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Where aid comes from? Sources of assistance.Federal / State GovernmentSchool / CollegePrivate Sources
• Clubs and organizations
• Employers
• Internet scholarship searches
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The Free Application for Federal Student Aid (FAFSA)
Used to determine student eligibility for: • Federal programs• State programs• School programs
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FAFSA-the FREE Application for Federal Student Aid
The FAFSA may be filed beginning on January 1 of the senior year of high school.
Complete the FAFSA as soon as possible after January
For the 2015-16 academic year, the FAFSA may be filed beginning January 1, 2015
The FAFSA must be completed every year!
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Ways to Apply
Online at www.fafsa.gov safe, secure, fast, skip logic, built in edits
print the confirmation page when complete
Paper FAFSA – call 1-800-433-3243
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Know what aid forms are required
Free Application for Federal Student Aid (FAFSA) PA State Grant Form (SGF) CSS PROFILE Form Institutional Application Verification Documents
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REQUIRED DEADLINESKnow all of your state and school/college
deadlines and file the FAFSA by the earliest
deadline.• School Deadlines – vary by school
• PA State Grant deadlines –
May 1, 2015 - First Time and Renewal Applicants that plan to enroll in a degree program or a college transferable program at a junior college or other college or university
August 1, 2015 - First Time applicants that plan to enroll in a community college; a business, trade, or technical school; a hospital school of nursing; or a 2-year program that is not transferable to another institution
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What is the Expected Family Contribution (EFC) ?
Amount family can reasonably be expected to contribute towards the students education
Stays the same regardless of college Two components
Parent contribution Student contribution
Calculated using data from the federal form – the FAFSA
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EFC-Expected Family Contribution
Expected Family Contribution (EFC) is determined based on your FAFSA information including:
- Parent income and assets
- Student income and assets
- Family size
- Number of children in college
- Age of the older parent
School use this number to determine eligibility for financial aid.
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What school costs are considered by the FAO at the school?
School costs include:
Tuition and fees Room and boardBooks and suppliesTransportationMiscellaneous living expenses
Varies widely from college to college
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Calculating Financial NeedSchools/colleges receive financial aid information and calculate financial need.
School cost……………………. $26,000
EFC……………………………..… ( 3,000) minus
Financial need………………… $23,000
FAO “awards” student based on financial need and available funding (varies from school to school).
Financial aid award letter sent to student.
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Financial Aid Award Letter Is official notification from school about financial aid,
terms, and conditions
Lists the type and amount of each award to be received
Describes what must be done to accept or reject any award
Discloses students rights, responsibilities, and academic requirements
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Packaging Example
Cost $15,000 $25,000 $45,000
EFC $ 3,000 $ 3,000 $ 3,000
Need $12,000 $22,000 $42,000
Free Money $ 6,000 $ 8,000 $18,000
Loans $ 5,500 $ 7,000 $ 8,000
Work $ 0 $ 2,000 $ 3,000
Total Aid $11,500 $17,000 $29,000
Remaining costs $ 3,500 $ 8,000 $16,000
Actual Contribution
(Cost – Free Money) $ 9,000 $ 17,000 $27,000
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Special Circumstances or also known as a Special Condition
Recent death or disability
Change in employment status – reduced income
Change in parent marital status – separation or divorce
Student cannot obtain parent information
Contact the school and ask for a special consideration AND Contact State Grant Division at PHEAA
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VERIFICATION PROCESS
THE SCHOOL IS REQUIRED TO VERIFY OR AUDIT THE INFORMATION THAT YOU PROVIDED ON THE APPLICATION.
WE COULD REQUEST TAX TRANSCRIPTS, W-2’S, BUSINESS RETURNS
VERIFICATION OF HOUSEHOLD SIZE, HIGH SCHOOL GRADUATION
SCHOOL WILL SEND VERIFICATION FORMS TO BE COMPLETED, SIGNED & RETURNED
IF POSSIBLE USE IRS-TAX TRANSCRIPT RETRIEVAL
CAN NO LONGER SUBMIT TAX RETURNS
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FEDERAL PROGRAMS
Pell Grant …………..... up to $5730 (2014-15)
Campus-based aid – amounts determined by FAO FSEOG…………………… up to $4000 Perkins Loan ……….. up to $5500 (fixed 5%
interest rate) Federal Work Study …… FAO determines
Federal Loans • Student Loans• Parent Loans
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FAFSA Completion Page
Apply for your State Grant
From the FAFSA
Completion/Confirmation
Page
Start your state application to apply for Pennsylvania state based financial aid
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Pennsylvania State Grant-commonly known as a PHEAA grantPA State Grant
Full-time, in PA…...….up to $4,011Part time, in PA………up to $2,005
Out of state….. Up to $600 in DE, MA, OH, RI, VT, WV, and DC
All other states….up to $500 (NJ, NY, and MD = $0)
For additional details, visit www.pheaa.orgPlease review the requirements needed for the State grant programs.
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Scholarships Scholarships are FREE MONEY
Scholarships are awarded by foundations, philanthropists, non-profit organizations, businesses and colleges to help students pay for college
Check with your School Counselor for Local Scholarships!
Fastweb.com is the largest, most accurate and most frequently updated scholarship database.
www.fastweb.com
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Increase your Scholarship Opportunities
Create a Profile or Resume Look at year after year.
What makes you stand out? Tell Your Story!
Document your information Achievements; Awards Personal/Performance – sports, music, art Extra Curricular Activities Volunteerism; Community Activities
Recommendations
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Scholarship Search Tips• Start Searching Early
• Use FREE Scholarship Search sites
• Don’t ignore scholarships with smaller award amounts
• Don’t miss deadlines
• Search for Scholarships every year
• Check corporate websites such as Target, Walmart, Kentucky Fried Chicken, as they all have scholarship programs and you don't have to work there to get them
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Scholarship Opportunities for Everyone
Scholarships for Average Students Community Service Scholarships Video contests Ethnicity Unusual scholarships
Based on Last Name • Eye Color • Coke Cola Scholarship• Tupperware Home Parties Scholarship
For more visit: http://www.finaid.org/scholarships/
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Smart Borrowing TipsResearch job availability in your chosen field, before selecting your major. You won’t be able to repay your student loan if you aren’t gainfully
employed. Research employment rates in your potential career field before
making a final decision on your major.
Research your expected salary in your future career, find an affordable school, and borrow realistically.
There are many paths to the same degree. Research every option, including community colleges and
commuting. Only attend a school you can reasonably afford. Only borrow what you absolutely need to attend.
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Smart Borrowing Tips
Consider all types of financial aid carefully.
Grants and scholarships do not need to be repaid.
Work-study provides part-time jobs for students.
Loans must be repaid with interest.
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Types of Federal Direct Student Loans
Undergraduate Students
Subsidized
Unsubsidized
Graduate students
Unsubsidized
PLUS Loan
Parents
PLUS Loan
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Federal Student Direct Loans Rates on new loans reset on July 1st of each year
Students do pay an origination fee on the amount borrowed-this is deducted before the student receives disbursement. This rate is 1.073 %
INTEREST RATES, As of July 1, 2014
Undergraduates
interest rate is 4.66 % fixed for subsidized and unsubsidized
Graduates
All loans are Unsubsidized and have a fixed interest rate of 6.21. %
Beginning July 1, 2013 eligibility is limited to a period not to exceed 150% of the borrower educational program. Students exceeding this limit lose eligibility for additional subsidized loans and the interest subsidies on loans they have already received.
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Federal Direct Loan Program (for students)
Subsidized = no interest charged to student while enrolled
Based on Financial NeedAs of July 1, 2014 a grace period subsidy was
reinstated.
Unsubsidized = interest accrues in school and graceAny interest not paid during grace will be capitalized
at repayment
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Parent Loan for Undergraduate Students (PLUS)
PLUS Loans – Parent & GraduateAs of July 1, 2014 interest rate is fixed at 7.21% Up-front fee of 4.292% deducted at disbursement
May borrow up to full cost of education minus financial aid Credit check is required on this loan Repayment begins immediately once the loan is fully disbursed. Can defer repayment- if deferring payments-you are encouraged to
make interest payments All loans must be repaid within repayment until 6 months after
student graduates or drops below ½ time10 years
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Benefits of Paying Interest
Loans must be repaid with interest. Paying now will reduce what is capitalized!
Interest accrues on your unsubsidized student loan and Federal PLUS Loan:
Every day, from the day the loan is disbursed until you make the last payment.
Even if your loan is not in repayment.
Interest accrues on your subsidized student loan:
Every day, from the day the repayment period starts until you make the last payment.
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Alternative/Private Education Loans Nonfederal loans, made by a lender such as a bank, credit union,
state agency, or a school.
Student borrows in his or her own name
Based on credit scoring and debt-to-income ratio
Repayment may be deferred until education completed
Fees, interest rates, loan amounts, and repayment provisions vary by lender and are generally higher than federal student loans
Co-signers usually required. Some loan products have a co-signer release option
Compare loans before making choice and read the fine print!
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FINANCIAL AID PROCESS CONTINUES… Final Thoughts…
Key reminders
1. File the FAFSA
2. Meet Deadlines
3. Follow Up with VERIFICATION Requests
What can you do now…prior to completing the FAFSA????
Apply for a pin
Visit websites-college, resources, financial aid careers
Explore scholarship opportunities
Use the FAFSA4CASTER- www.fafsa4caster.ed.gov can estimate what you could receive.
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Reduce the Need for Financial Aid and Loans
Graduate on Time
4 year for Bachelors Degree / 2 year Associates Degree
Research and find the right school and major
Minimize transfer and change of major
Earn college credits while in high school through AP courses, Vo-Tech, and dual enrollment
Consider options for cutting costs (commute, take summer classes, buy used books, make smart meal plan choices)
2 + 2 Strategy (2 years at a Community College then transfer credits to a 4 year school)
3 + 2 (Master’s Degree)
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Resources FEDERAL
Federal Student Aid Info Center – 1-800-433-3243
www.fafsa.gov
www.studentaid.ed.gov
www.studentloans.gov
– information on federal loans, and entrance counseling
STATE
www.PHEAA.org
www.mysmartborrowing.org
www.EducationPlanner.org
www.Youcandealwithit.com
www.Myfedloan.org
PHEAA State Grant toll free: 1-800-692-7392
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FAFSA COMPLETION WORKSHOPWILL BE HELD AT
BENSALEM HIGH SCHOOLTUESDAY
MARCH 10, 2015
BUCKS COUNTY COMMUNITY COLLEGE WILL HAVE ITS ANNUAL FINANCIAL AID NIGHT FEBRUARY 4, 2015.
FAFSA COMPLETIONS WILL BE HELD IN THE MONTH OF MARCH AT ALL THREE CAMPUSES. PLEASE LOOK ON WWW.BUCKS.EDU FOR INFORMATION.